The Federal Reserve System

The Federal Reserve System was enacted in the United States for more than a century. During this time, it has increasingly acted in ways that are seen as unethical and a violation of the Christian Worldview by allowing the government to monopolize money, cause inflation, and redistribute wealth. The three biggest movements of the Federal were all perpetuated by the Democratic liberal party.

The Federal Reserve Act was signed into law by President Woodrow Wilson on December 23, 1913 in an attempt to stabilize the economy (Federal Reserve Bank of San Francisco, n.d.). With the creation of the Federal Reserve the government essentially created themselves a money production monopoly in control of all monetary values in the United States. The act allowed them to control the amount of money that was created and determine what everything would be worth, including products and services. This is a clear violation of the Christian ethical principles of voluntary trade as it allows the government to mandate and control costs which threatens free trade. It is important to note that because of the creation of the Federal Reserve and the implementation of the 17th Amendment (which created income tax) were some the biggest reasons that a policy analyst of The Heritage Foundation and considers him the “Godfather of Liberalism” (Pestritto, R.).

In 1933, President Franklin D. Roosevelt, who is lauded as a one of largest progressive liberals in the United States, increased the power that the Federal Reserve and government held by taking the country off of the gold standard. Americans were required by law to turn in a gold or gold certificates valued over $100 to the Federal Reserve in exchange for other money, thus increasing the monopoly held by the government and allowing them inflate the money supply (History.com). The use of inflation goes against the Christian Worldview values by using false weights and balance to determine value. “Holy Scripture tells us that using false weights and measures is an act of fraud akin to theft. God requires just balances, and He finds false scales an abomination. Furthermore, when prophesying against the unfaithfulness of Jerusalem, Isaiah specifically cites monetary debasement as one of their sins when he says, “You silver has become dross” (Dr. Ritenour, S.).

Yet again the Federal Reserve attacks the Christian Worldview in 1971 when President Richard Nixon took away the gold standard in totality, announcing that the United States would no longer convert dollars to gold at a fixed value (History.com). This gave the federal government complete and total control of money production and allowed them to create as much inflation as wanted without gold backing. By utilizing this monopoly, the government can redistribute wealth, causing those that live on fixed incomes to suffer as the prices of goods and services increase. Inflation caused by the Federal Reserve has been astronomical as well, pointing